Renewables

28th November 2018

Amid sluggish policy changes and falling technology and renewables costs, the UK’s business community is likely to lead the transition to a low-carbon, decentralised and democratised energy system, Npower’s former chief executive Paul Massara has suggested. Speaking at the launch of a report revealing that wind and solar power could meet around 50% of the UK’s electricity demands by 2030, Massara agreed with the All Party Parliamentary Group for Rural Business’ chairman James Heappey MP, who called for an end to the “myth that renewables and cleantech only happen when Government writes big cheques”. “The cost of balancing the system has moved up from £564m five years ago to £1.3bn today, and is forecast to be £2.8bn by 2030,” Massara, now chief executive of Electron, said. “At the same time, the forward curve has started to come down, meaning you’ve got more and more low-carbon plants running at zero marginal cost. “This creates a massive incentive for businesses and individuals to start creating their own flexibility. What we need to do is tap into the flexibility which already exists in companies around the country in cars, storage and water heaters. We also need to allow them to tap in and get paid for putting flexibility back into the system.” For this transformation to come to fruition, Massara argued that the so-called Big Six energy firms would need to change their “mental model” and make full use of existing demand response opportunities – even though doing so would reduce the energy consumption of their customers.

Clients have included Greenpeace, Nuclear Free Local Authorities, WWF Scotland and the UK Government’s Committee on Radioactive Waste Management.

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